The article discusses about professional examinations. The problems were prepared by the Board of Examiners of the American Institute of Accountants and were presented as the second half of examination in accounting practice. The candidates were required to solve all problems in four and a half hours. The examination in theory of accounts of C.P.A. Examination was given in a three and one-half hour session. The management of a corporation is considered replacing a machine which is operating satisfactorily with a more efficient new model. Depreciation on the cost of the existing machine is omitted from the data used in judging the proposal, because it has little or no significance with respect to such decision. The article here discusses about the professional examinations, examinations in theory of accounts, the different questions asked in those examinations. To save candidates the time of computing their own time budgets for each problem, notations of estimated time requirements are furnished for each problem to be answered separately.

The article presents some problems prepared by the Board of Examiners of the American Institute of Accountants, U.S. and were presented as the second half of the examination in accounting practice on November 8, 1956. The candidates were required to solve any four out of five problems. The problems were of equal weight, the total for this section being 50 points. The time allowed for solution was four and a half hours. The examination in theory of accounts of the November, 1956, Certified Public Accountants Examination was given on Friday, November 9, 1956 in a three and one-half hour session from 1:30 P.M. to 5:00 P.M. There were two groups of questions induced. All four questions in the first group were required, five were to be selected from seven in the second group. To save candidates the time of computing their own time budgets for each problem, notations of estimated time requirements are furnished for each problem to be answered separately, and in the aggregate for all problems to be answered out of a group where the options are involved.